Choosing proper insurance coverage can be very demanding. You need to do a lot of research to make sure that you are getting the best deal possible. There are different types of coverage, and everything you choose affects the overall premium. Therefore, you need to ensure that you are not going to waste money or compromise your safety.
We are going to introduce you to all perils coverage, and we are going to explain how it works. We will try to make the entire insurance process easier for you. Hopefully, this will be useful to you. However, do not hesitate to visit Surex and explore on your own.
What Types of Insurance Coverage are There?
There are numerous types of coverage that you can choose from. For example, Surex has several partners that offer the following types:
- Accident Forgiveness
- Comprehensive Coverage
- Depreciation Coverage
- Family Protection
- Third-Party Liability Coverage
- Windshield Coverage
- Car Rental Coverage
- Collision Coverage.
However, keep in mind that in Ontario there is a minimum and maximum insurance coverage that you can get. The minimum is Third-Party Liability insurance, which means that you must have this no matter which other option you choose.
What Is All Perils Coverage?
All Perils (or Risks) Coverage means that you are getting insurance protecting you from different kinds of potential damage. All Perils involves everything covered by Collision and Comprehensive Coverage, plus some other forms of protection. It will protect your vehicle from natural disasters such as fire, lightning, wind, rising water, earthquake, or even theft, riots, etc.
Collision coverage means that the insurance company will pay for the repair or replacement of your vehicle if you were in an at-fault accident, hit-and-run accident and if the other driver was uninsured.
Comprehensive Coverage covers damage done by falling objects, hitting animals, vandalism, etc. You are pretty much protected from all possibly harmful occurrences.
Why Is All Perils Coverage Good For Me?
When you are on the road, you like to know that you are fully protected. Whether an animal jumps out in front of you or you collide with another car, your insurance company has it covered for you.
If it is within the range of your possibilities, it is definitely a good idea to get All Perils Coverage. No matter what happens, you will not have to worry about the expenses. However, your insurance premium will get higher.
Even though All Perils Insurance covers multiple possible events, make sure to ask your insurance companies if there are any exceptions. You do not want to believe that something will be covered if it is not. However, thinking of a single exception not included in this type of coverage seems to be incredibly difficult. You will not regret getting All Perils Coverage if you can.
How Can I Reduce My Premium With All Perils?
Even though All Perils Coverage seems to be an incredible option, as we have previously mentioned, it can significantly raise your insurance premium. When this happens, you might want to find a way to lower it.
The best option to go for is to ask for a higher deductible.
A deductible amount is the amount of money that you pay to the insurance company from your own pocket in case of an accident. This amount is subtracted from the overall sum, and you pay less for your annual insurance premium.
For example, if the damage is $2000, and your deductible is $500, the insurance company will pay the remaining $1500. However, keep in mind that this is your money that you will have to give at some point. This amount is not fixed, and you get to choose how much you want it to be.
The higher your deductible is, the lower your premium will be. This can be both beneficial and bad for you. Everything depends on your budget. But, know that there is an option to have a lower premium.
There might be some other discounts that can help you with this, so make sure to ask your insurance specialist or explore more about it.
Is All Perils Coverage Optional?
All Perils coverage is not mandatory in most places, including Ontario. There is obligatory coverage required by law, but this is not it. All Perils Insurance might be the best option you are allowed to get, but not forced on you.
However, some insurance companies might require you to get this type of coverage if you are driving a rental car or for some other reason. It is also included if your car is leased. This is rarely the occurrence, but you should be aware of it happening.
Can I Choose The Perils?
Apart from the All Perils Coverage, we have previously explained that you do have an option to pick your perils. This is called Specified Perils coverage. The options you can choose from are usually the following:
- Rising water
- Riot or civil commotion
- Damage during transport on land or water (e.g. if a ship sinks).
Some possible accidents are not listed for you to choose from, such as vandalism or if your glass breaks/someone breaks it. Do not forget to ask your insurance company all of the details about the options you specify. Make sure you are informed, and you will not be surprised if anything happens.
What Else Should I Know?
A very interesting benefit offered by All Perils Coverage is that the damage on the car is covered even if a member of your household was driving the vehicle and not you. This is not the case with most types of coverage, so it is good to know that this option exists as well.
Based on all the facts presented above, all perils coverage seems to be a great option. Even though your insurance premium will be higher, make sure to choose this option if your budget allows you!
The next logical step would be to look for a competent insurance policy.